The main stocks are generally strong.

The emerging markets have risen significantly this week. While the Nikkei Average was +0.79%, the growth market index was +4.63%, and the growth market 250 index was +5.16%, indicating a noticeable increase in the emerging markets. Similar to the main market, although the trading volume has not expanded significantly, due to the improvement in investor sentiment, the leading stocks with large market capitalizations, such as the growth market core index constituents, are generally strong. The growth market 250 index has returned to the level of the opening price on August 1st (641.96pt).

Among the top market capitalization stocks, JTOWER <4485> narrowed its bid-ask spread to 3,600 yen in a tender offer, and GENDA <9166> updated its all-time high after a 12-day consecutive rise, with some media coverage. Astro Scale HD <186A> announced that its consolidated subsidiary has concluded a large contract for the Commercial Removal of Debris Phase II (CRD2) with the Japan Aerospace Exploration Agency (JAXA), leading to buying interest. In addition, SBI Leos Hifumi <165A> was bought on the news of stock splits and dividend forecasts, and there was excitement in the biotechnology sector with stocks such as Anges <4563>, Shin Bio Pharma <4582>, and Cell Seed <7776>. On the other hand, stocks with double-digit stock prices such as Frutta Frutta <2586> and Soleizia Pharma <4597> were sold more than bought.

There is also the potential for individual stock picking based on investor sentiment, but there is only one IPO.

The situation in the emerging markets next week is likely to calm down. In the main market, the Nikkei Average has become top-heavy at around 38,000 yen. This level has a high volume of trading by price range, indicating a strong selling pressure waiting for a rebound. After the growth market 250 index returned to the level of August 1st before the sharp decline, just like the main market, it can be said that the emerging markets are also in a situation where there is a possibility of selling pressure waiting for a rebound. The trading volume is slightly 100 billion yen and the trading volume has not expanded significantly. Investors who are conscious of the September market are mainly focusing on high dividend stocks and stocks with favorable treatment in the main market, which is also an factor for the stagnation of trading. What is needed now is a trading volume that can absorb the selling pressure waiting for a rebound.

However, the speculative demand for lower-priced stocks has subsided, and investor sentiment is positive as large-cap stocks are strong. There is still plenty of room for speculative demand for thematic stocks with high themes such as biotechnology and space-related stocks. In the biotechnology sector, there is a possibility that Chordia Therapeutics <190A> and Perseus Proteomics <4882>, which declined this week, could attract speculative buying. In addition, if QPS Institute <5595> surpasses its 25-day moving average, there is a mood for a significant movement. While the upside of the emerging market indexes is likely to be heavy, there is a possibility that individual stock picking will spread based on investor sentiment.

On August 29th, Cross E Holdings <231A>, which is engaged in the construction and management of facilities such as Huis Ten Bosch and public facilities, as well as waste incinerators and resource recycling facilities, will be listed on the Fukuoka Q-Board market. Although it is not widely expected due to its listing only on a local market, it is worth noting that Linet Japan Group <3556> surged after media reports that the Ministry of the Environment sought tax reduction measures for waste disposal companies. There is a possibility that attention will turn to waste disposal companies.